Should Gold Investors be Sticking to the Sidelines? Peter Hug Comments

from Kitco NEWS

lass=”” >Gold continues to be under pressure as the dollar pushes higher and Peter Hug, global trading director for bullion dealer Kitco Metals, says there may be more downside ahead. “Metals continue to be influenced by the trading range of the U.S. dollar,” he told Kitco News on Monday.  He added, “Although we still do not see a justification for a Fed June rate hike, the continuous hawkish tone spouted by Fed members has taken the enthusiasm away from the bulls.” Hug, a thirty-year trading veteran, explained that gold is currently in no-man’s land, noting that it is, “corralled between $1,238-1,255, with the immediate prospects suggesting a test of the lower band.” As for silver, he says the metal may offer a better risk/reward for bulls, than gold, in the short-term.

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